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The Canadian Elder Standard - Pricing the Cost of Basic Needs for the Canadian Elderly

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  • Bonnie-Jeanne MacDonald
  • Doug Andrews
  • Robert L. Brown

Abstract

We determined the after-tax income required to fi nance basic needs for Canadian elders living with different circumstances in terms of age, gender, city of residence, household size, homeowner or renter status, means of transportation, and health status. Using 2001 as our base year, we priced the typical expenses for food, shelter, medical, transportation, miscellaneous basic living items and home-based long-term care for elders living in fi ve Canadian cities. This is the fi rst Canadian study of basic living expenses tailored to elders instead of adults in general, prepared on an absolute rather than a relative basis. We also accounted for an individual’s unique life circumstances and established the varying effect that they have on the cost of basic expenses, particularly for home care. We found that the maximum Guaranteed Income Supple ment and Old Age Security benefi t did not meet the cost of basic needs for an elder living in poor circumstances.

Suggested Citation

  • Bonnie-Jeanne MacDonald & Doug Andrews & Robert L. Brown, 2011. "The Canadian Elder Standard - Pricing the Cost of Basic Needs for the Canadian Elderly," Social and Economic Dimensions of an Aging Population Research Papers 286, McMaster University.
    • Handle: RePEc:mcm:sedapp:286
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    File URL: http://socserv.mcmaster.ca/sedap/p/sedap286.pdf
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    References listed on IDEAS

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    3. Sule Alan & Kadir Atalay & Thomas F. Crossley, 2008. "The Adequacy of Retirement Savings: Subjective Survey Reports by Retired Canadians," Canadian Public Policy, University of Toronto Press, vol. 34(s1), pages 95-118, November.
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    JEL classification:

    • I32 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Measurement and Analysis of Poverty

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